SB 654 Pennsylvania Senate · 2023-2024 Regular Session

An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in sales and use tax, further providing for exclusions from tax; in personal income tax, further providing for definitions and for classes of income and providing for transfer to Clean Streams Fund; in corporate net income tax, further providing for definitions and providing for determination of net loss deduction; in bank and trust company shares tax, further providing for ascertainment of taxable amount and exclusion of United States obligations; in realty transfer tax, further providing for transfer of tax; in Historic Preservation Incentive Tax Credit, further providing for tax credit certificates; in Coal Refuse Energy and Reclamation Tax Credit, further providing for application and approval of tax credit and for limitation on tax credits; in city revitalization and improvement zones, further providing for definitions, for establishment or designation of contracting authority, for approval, for reports, for transfers, for restrictions, for transfer of property and for review; in Manufacturing and Investment Tax Credit, further providing for definitions, for rural growth funds, for claiming the tax credit and for revocation of tax credit certificates; in Neighborhood Assistance Tax Credit, further providing for tax credit and for grant of tax credit; providing for 529 savings account employer matching contribution tax credit and for employer child care contribution tax credit; in Computer Data Center Equipment Incentive Program, further providing for definitions and for sales and use tax exemption; providing for tuition account programs; and making an editorial change.

This bill amends the state Tax Reform Code to modify various tax rules, including sales tax exclusions, personal income tax definitions, and corporate tax deductions. Key changes include allowing a deduction for student loan interest up to $2,500, exempting certain government and railway compensation related to the East Palestine train derailment from income tax, and creating new tax credits for employer contributions to 529 savings accounts and child care expenses. The legislation also establishes a $50 million annual transfer from personal income tax proceeds to the Clean Streams Fund and expands deductions for medical cannabis businesses. Additionally, it updates definitions and procedures for several existing tax incentive programs related to historic preservation, manufacturing, and city revitalization.
Bill status signed all 5 stages cleared
Introduction
May 2023
Committee Review
Jul 2024
Senate Passage
Sep 2023
House Passage
Jul 2024
Signed into Law
Jul 2024
Introduced May 2, 2023 Signed Jul 11, 2024
Floor votes · Senate Sep 19, 2023 · House Mar 20, 2024

How they voted

362
Passed · 4 other
Total votes 42
Sep 19, 2023
D Democratic16
10 Yea 2 Nay 4
62% Yea
R Republican26
26 Yea
100% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
31
Key actions
14
Committee
13
Amendments
4
Jul 11, 2024
Signed into law
Approved by the Governor
lower
Jul 11, 2024
Lower · Passed
House concurred in Senate amendments to House amendments
lower
Jul 11, 2024
Lower · Passed
Re-reported on concurrence, as committed
lower
Jul 11, 2024
Committee
Referred to Rules
lower
Jul 11, 2024
Upper · Passed
Senate concurred in House amendments, as amended by the Senate
upper
Jul 11, 2024
Upper · Passed
Re-reported on concurrence, as amended
upper
Apr 8, 2024
Committee
Referred to Rules & Executive Nominations
upper
Mar 20, 2024
Lower · Passed
Third consideration and final passage
lower
Mar 19, 2024
Lower · Passed
Re-reported as amended
lower
Mar 19, 2024
Committee
Re-referred to Appropriations
lower
Mar 18, 2024
Lower · Passed
Validity of Committee Report Sustained
lower
Mar 18, 2024
Lower · Passed
Motion to Object to Committee Report
lower
Mar 18, 2024
Lower · Passed
Re-reported as amended
lower
Dec 13, 2023
Committee
Re-referred to Appropriations
lower
Dec 12, 2023
Lower · Passed
Reported as committed
lower
Sep 21, 2023
Committee
Referred to Finance
lower
Sep 19, 2023
Upper · Passed
Third consideration and final passage
upper
Sep 19, 2023
Upper · Passed
Re-reported as committed
upper
Jun 19, 2023
Committee
Re-referred to Appropriations
upper
Jun 7, 2023
Upper · Passed
Reported as committed
upper
May 2, 2023
Committee
Referred to Finance
upper
1 primary · 7 co-sponsors

Sponsors